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Nanshan Aluminium Intrnatnl Holdings Ltd

2610.HKHKSE
HK$54.80
HK$-1.20(-2.14%)
Hong Kong Market opens in 10h 46m

Nanshan Aluminium Intrnatnl Holdings Ltd Fundamental Analysis

Nanshan Aluminium Intrnatnl Holdings Ltd (2610.HK) shows strong financial fundamentals with a PE ratio of 8.55, profit margin of 46.52%, and ROE of 26.77%. The company generates $1.1B in annual revenue with strong year-over-year growth of 12.03%.

Key Strengths

ROE26.77%
Operating Margin53.86%
Current Ratio4.70

Areas of Concern

Cash Position1.85%
PEG Ratio7.37
We analyze 2610.HK's fundamental strength across five key dimensions.

The stock receives a Fundamental Health Score of 77.3/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.

Fundamental Health Score

B
77.3/100

We analyze 2610.HK's fundamental strength across five key dimensions:

Efficiency Score

Excellent

2610.HK demonstrates superior asset utilization.

ROA > 10%
20.95%

Valuation Score

Moderate

2610.HK shows balanced valuation metrics.

PE < 25
8.55
PEG Ratio < 2
7.37

Growth Score

Moderate

2610.HK shows steady but slowing expansion.

Revenue Growth > 5%
12.03%
EPS Growth > 10%
5.88%

Financial Health Score

Excellent

2610.HK maintains a strong and stable balance sheet.

Debt/Equity < 1
0.00
Current Ratio > 1
4.70

Profitability Score

Excellent

2610.HK achieves industry-leading margins.

ROE > 15%
26.77%
Net Margin ≥ 15%
46.52%
Positive Free Cash Flow
Yes

Key Financial Metrics

Is 2610.HK Expensive or Cheap?

P/E Ratio

2610.HK trades at 8.55 times earnings. This suggests potential undervaluation.

8.55

PEG Ratio

When adjusting for growth, 2610.HK's PEG of 7.37 indicates potential overvaluation.

7.37

Price to Book

The market values Nanshan Aluminium Intrnatnl Holdings Ltd at 2.06 times its book value. This may indicate undervaluation.

2.06

EV/EBITDA

Enterprise value stands at 8.78 times EBITDA. This is generally considered low.

8.78

How Well Does 2610.HK Make Money?

Net Profit Margin

For every $100 in sales, Nanshan Aluminium Intrnatnl Holdings Ltd keeps $46.52 as profit after all expenses.

46.52%

Operating Margin

Core operations generate 53.86 in profit for every $100 in revenue, before interest and taxes.

53.86%

ROE

Management delivers $26.77 in profit for every $100 of shareholder equity.

26.77%

ROA

Nanshan Aluminium Intrnatnl Holdings Ltd generates $20.95 in profit for every $100 in assets, demonstrating efficient asset deployment.

20.95%

Following the Money - Real Cash Generation

Operating Cash Flow

Nanshan Aluminium Intrnatnl Holdings Ltd generates strong operating cash flow of $531.94M, reflecting robust business health.

$531.94M

Free Cash Flow

Nanshan Aluminium Intrnatnl Holdings Ltd generates strong free cash flow of $117.33M, providing ample flexibility for dividends, buybacks, or growth.

$117.33M

FCF Per Share

Each share generates $0.19 in free cash annually.

$0.19

FCF Yield

2610.HK converts 2.43% of its market value into free cash.

2.43%

Financial Ratios Analysis

Valuation Ratios

P/E Ratio

Price to earnings ratio

8.55

vs 25 benchmark

PEG Ratio

Price/earnings to growth ratio

7.37

vs 25 benchmark

P/B Ratio

Price to book value ratio

2.06

vs 25 benchmark

P/S Ratio

Price to sales ratio

4.53

vs 25 benchmark

Financial Health

Debt/Equity

Total debt to shareholders' equity

0.00

vs 25 benchmark

Current Ratio

Current assets to current liabilities

4.70

vs 25 benchmark

Efficiency Ratios

ROE

Return on equity percentage

0.27

vs 25 benchmark

ROA

Return on assets percentage

0.21

vs 25 benchmark

ROCE

Return on capital employed

0.26

vs 25 benchmark

How 2610.HK Stacks Against Its Sector Peers

Metric2610.HK ValueSector AveragePerformance
P/E Ratio8.5523.49 Better (Cheaper)
ROE26.77%883.00% Weak
Net Margin46.52%-94454.00% (disorted) Strong
Debt/Equity0.000.51 Strong (Low Leverage)
Current Ratio4.705.14 Strong Liquidity
ROA20.95%-6300.00% (disorted) Strong

2610.HK outperforms its industry in 5 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.

Historical Growth Performance

5-Year Growth Trajectory

This section reviews Nanshan Aluminium Intrnatnl Holdings Ltd's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.

Revenue CAGR

586.39%

Industry Style: Cyclical, Commodity, Value

High Growth

EPS CAGR

1390.95%

Industry Style: Cyclical, Commodity, Value

High Growth

FCF CAGR

100.00%

Industry Style: Cyclical, Commodity, Value

High Growth

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